Amerika is more Socialist than ever before comrade. They still call America a free market capitalist country, but that’s only so they can blame Capitalism on the failures of our government’s socialist interventions.
This used to be a free country. There was freedom of speech, private property rights, even freedom from taxes. But that’s all changed.
Free speech is being threatened at college campuses all across the nation. Taxes are ever increasing with the government always looking for new ways to tax the masses. There really are no private property rights anymore.
Heck, you can’t even alter, change or improve your property without government approval first. If you do, they most likely will fine you and/or make you remove any ‘unpermitted’ improvements as well as threaten you with jail time.
Even if you own property ‘free & clear’, it’s still not debt free. Think about it. You have to pay the government property taxes in perpetuity. This is like a mandated governmental rent that never goes away. What do you think would happen if you didn’t pay your property taxes? They would come take your property and sell it to the highest bidder.
The government has a gun to your head as long as you are a citizen. It has total control over your life, your property and your ‘so called’ freedom.
It didn’t used to be this way, but the generation of self-reliance is now just a blip in history, as nearly half the nation’s citizens are dependent on some sort of governmental benefits and demanding more. This country is doomed to complete dominance by the government.
U.S. Tax System
The U.S has the most voracious and gluttonous tax system in the world. It’s also the most aggressively enforced.
The U.S. is the only country in the world that successfully taxes its citizens no matter where they are in the world, even if they leave and never step foot in the country again. It’s called citizenship-based taxation.
Nearly every other country in the world taxes people based on residency, not citizenship. As a U.S. citizen, you should think of citizenship-based taxation as a tracking device that follows you everywhere.
U.S. citizens are in a unique position of having the world’s worst tax policies and a government that relentlessly enforces them everywhere on the planet.
For many, the benefits of U.S. citizenship no longer outweigh the costs. US citizens are leaving the country in record numbers and either obtaining dual citizenship or renouncing their citizenship altogether.
I realize that this is more of a political commentary rather than financial based commentary, but the two are tied together. Taxes affect our investing decisions and our ability to build wealth. The more taxes imposed on Americans, the harder it is to become financially independent.
I’d love to live in a tax free world, but I know that’s not plausible in our current age, but I also know that there are more equitable ways to impose taxes.
If there were government limitations on spending, financial abuse and mismanagement of funds, we could have lower taxes and less government intrusion in our lives.
I know this country’s pendulum has already swung too far, but at least one can dream of better times.
Well, it appears the Cartel was able to successfully get gold down to a level that makes complete sense from a technical perspective. That means that the correction has completely played out and all the technical indicators suggest at least a short term rally from here.
As you can see from the daily chart below, we have been in a bull flag pattern (purple lines) for the past couple of weeks until the price hit support at the blue uptrend line. The stochastic oscillator confirms the correction into oversold territory around 19.
Gold has lost over 80 points since it hit a new high this year of 1304. Now it’s down into a demand zone where the smart (institutional) money has been patiently waiting to pile in. I expect we will see a bounce from here and gold should make new highs over the next few weeks.
Gold is in a new bull market and should continue to rise in a stair step pattern of higher highs and higher lows as clearly witnessed by the weekly chart below.
For those who follow Elliott Wave patterns, we are in the final stages of corrective wave #4 and the next wave will be an impulsive wave #5 to the upside, breaking resistance at 1304 and extending to 1320 or above.
Stock Market: (SPY) (QQQ)
We are living in unusual financial times. This irrational market is completely rigged and manipulated. The PPT (Plunge Protection Team) continues to fight the natural forces of the free market, but with only moderate success. But even in their desperation to keep things from falling apart with their computer algorithms manipulating the market up, they still can’t beat the Bear.
The technical patterns still show the lower highs and lower lows of a bear market which began last May. It’s not a matter of if, but when these artificial interventions lose their grip and the market begins a free fall to the next lower low.
Even traders who are not familiar with technical analysis can easily see the lower highs and lower lows forming in the chart of the S&P.
The Markets, just like everything in life, moves in oscillating cycles and this cycle has peaked and will soon head back down.
Energy: (XLE) (UNG) (USO) (LNG)
Oil continues to rocket higher, although with less energy than in previous weeks and the stochastic is showing extreme over bought conditions. This cycle is peaking and should turn down any day.
Commodities: (FCX) (JJG) (DBA) (JO)
Commodities continue higher with a new wave to higher highs in progress.
(SLW) January 2017 CALLS
(GDX) January 2017 CALLS
(ABX) January 2017 CALLS
(FNV) January 2017 CALLS
(RGLD) January 2017 CALLS
(DBA) January 2017 CALLS
(JJG) January 2017 CALLS
(SPY) December 2016 PUTS
(IYF) August 2016 PUTS
“This is the Beginning of the Revolution”: Americans Are Preparing For War With Their Own Government
As the Washington Post writes, there is a significant movement among US citizens that are demanding that the federal government adhere to the Constitution, and stop what they see as systematic abuse of land rights, gun rights, freedom of speech and other liberties.
A Spirit Of Violence And Civil Unrest Is Rising In America
Waves of anger, frustration, violence and civil unrest are starting to sweep across the United States, and political rallies for Republican presidential candidate Donald Trump have become a focal point for releasing some of that energy.
Chart Of The Day: May Registrations For The Libertarian Party Jump 20-Fold
People are going to be pissed off no matter who wins this election and that is a very important social dynamic I believe is vastly under appreciated by the majority of mainstream pundits and analysts out there.